The IPO issued to the general public by Palpa Cement Industries Limited is being allotted today at 9:30 AM.
According to the issue manager Nabil Investment Banking Limited, the allotment process will distribute shares through a lottery system.
The company had opened its IPO for the general public from Falgun 12 to Falgun 15. A total of 450,000 applicants will receive 10 shares each through the lottery. The company had issued 4.5 million shares at a face value of NPR 100 per share for the general public.
With a total issued capital of NPR 3.75 billion, the company had received approval to issue 7.5 million ordinary shares worth NPR 750 million, representing 20 percent of its capital.
Out of this, 1.875 million shares had already been allotted to residents of the project-affected areas. In addition, 562,500 shares were allocated for Nepali citizens working abroad, 281,250 shares for mutual funds, and another 281,250 shares for company employees.
Meanwhile, Infomerics Credit Rating Nepal Limited has assigned the company an ‘IRN BB-’ credit rating, indicating a moderate risk in the company’s ability to meet its financial obligations on time.
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